Plano aldermen have approved a letter of support to the Illinois Housing Development Authority for a developer's plans to renovate two affordable housing sites on the west side of the city.

Nick Surak, vice president of development for the Woda Group Inc. from Indianapolis, said the company owns and manages Deer Run Apartments, an 18-unit apartment neighborhood at 250 S. Louis St. This complex is for seniors 62 years of age or older and for handicapped and disabled residents. They also own and manage Kingsfield Apartments, a 24-unit two-story affordable apartment community for families at 300 Louis St. which was built in 1975.

Both locations have a sliding scale concerning rent for their residents. Surak said that rent for both properties is determined by the Office of Rural Development, which watches over such programs.

The letter from the city to the Illinois Housing Development Authority said "these properties serve a valuable role in our community but are approximately 40 years old and would benefit from a program of renovations."

Susan Thanepohn/The Beacon-News

Nick Surak, vice president of development for the Woda Group Inc., talks to Plano alderman about plans to renovate two affordable housing sites in the city.

Nick Surak, vice president of development for the Woda Group Inc., talks to Plano alderman about plans to renovate two affordable housing sites in the city. (Susan Thanepohn/The Beacon-News)

Authority officials determine how the credits are allocated. Surak said "typically, it is a very competitive program."

He said the authority had over 90 applications last year but granted tax credits to only around 27 of them.

"If we win this we sell them to investors to finance the rehabilitation (work)," he said.

He said that if they are granted the tax credits, plans call for about $60,000 in renovation for each unit on the properties. This would include new roofs, windows, flooring, lighting, the modernization of heating and cooling systems with more energy efficient equipment and more.

"Basically, we would leave the studs and plumbing in place" but renovate the rest, he said

He said the work would benefit the residents and the landowner.

"If you have an old worn out property, you get killed in operating expenses. We will modernize everything," he said

He said there is a plan to help residents during the proposed work.

"We will move residents out and pay for their accommodations while the work is going on," Surak said.

Mayor Bob Hausler said the city sent a letter to the agency to "reinforce that the grant is something that the community wants to see happen."

The grant decisions are likely to be announced sometime this summer, officials said. If the tax credits are granted, Surak said the rehabilitation project would likely begin early next year.